California A.B. 1590 - Governance & State Oversight (Data Collection)

04/04/2014

Sponsor: Assemblymember Bob Wieckowski (D)

Summary: Amends the date the Student Aid Commission needs to certify a qualifying institution's latest three-year cohort default rate and graduation rate to November 1. Defines the graduation rate of a qualifying institution to be the percentage of full-time, first-time degree or certificate-seeking undergraduate students who graduate in 150% or less of the expected time to complete the degree requirements as most recently reported by the United States Department of Education.

Amends the definition of "qualifying institutions" to mean an institution that is a California private or independent postsecondary educational institution that participates in the Pell Grant Program, Stafford Loan programs and in at least 2 of the following federal campus-based programs: federal Work-Study, the Perkins Loan Program and the Supplemental Education Opportunity Grant Program.

Removes "campus-based” from the description of the federal programs in connection with the California private or postsecondary educational institutions that are defined as qualifying institutions, and would replace the Perkins Loan Program with the Stafford Loan Program for purposes of qualifying a private or independent postsecondary institution for Cal grants.

Outlook: At the scheduled hearing, the Committee on Appropriations will accept limited public testimony. A vote on this measure is expected at the hearing. Should the Committee determine this measure has a significant fiscal impact, it may place this measure in its suspense file for consideration at a later time.

This measure was amended to clarify the definitions of qualifying institution and campus-based and re-referred to the Committee on Appropriations.

After allowing for public testimony, the Assembly Committee on Higher Education recommended this measure for passage by a 12-0 vote. This measure will next be referred to the Assembly Committee on Appropriations for consideration. As this measure contains fiscal provisions it must be approved by the Appropriations Committee before it may be considered by the full chamber. Per Joint Rule 61(b)(6), the committee has by May 9 to act on this measure.

The sponsor is a member of the majority party but has not garnered the support of any cosponsors. The Democratic Party controls both legislative chambers as well as the Office of Governor.